Moody's upgrades FHB forint-denominated bonds to Aa2

Ratings

The international rating agency Moody's said on Tuesday it has upgraded all forint-denominated covered bonds issued by Hungary's Land Credit and Mortgage Bank (FHB) Rt to Aa2 from A1. The ratings of foreign currency denominated covered Bonds remain at A1, Moody's said, adding that these ratings would be Aa2 if not constrained by the foreign-currency-related risk for Hungary.
This is the first rating exercise Moody's has completed under its revised covered bond methodology. The ratings have been reached following a review of both the Hungarian Covered Bond law and the collateral backing the cover pool.

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.

Support the BBJ

Finance